Continuous Efforts to Empower Rural Local Bodies, XV Finance Commission Grants Released for Kerala and Meghalaya

The Government of India has released the second installment of unconditional grants under the 15th Finance Commission (XV FC) for the rural local bodies of Kerala for the financial year 2024-25. A sum of ₹266.80 crores has been allocated for the state's 14 district panchayats, 152 block panchayats, and 941 gram panchayats. Additionally, for Meghalaya, the first installment of ₹27.00 crores has been released for the financial year 2021-22, designated for the state's three autonomous district councils (Khasi, Garo, and Jaintia).

The funds for rural local bodies are released by the Ministry of Finance on the recommendation of the Ministry of Panchayati Raj and the Ministry of Jal Shakti (Department of Drinking Water and Sanitation). The grants are issued in two installments throughout the financial year.

Unconditional Grants for Empowering Rural Local Bodies:

The unconditional grants provided to rural local bodies are earmarked to address place-specific needs under the 29 subjects described in the 11th Schedule of the Constitution. These grants are intended for developmental activities, excluding staff salaries and other administrative costs. In contrast, conditional grants are provided to support essential services such as (a) sanitation, maintenance of open defecation-free (ODF) status, domestic waste management, human waste treatment, and sludge management, and (b) drinking water supply, rainwater harvesting, and water recycling efforts.

15th Finance Commission Grants: A Step toward Self-Reliant India:

The Government of India is strengthening rural governance by empowering Panchayati Raj Institutions (PRIs) and Rural Local Bodies (RLBs) through the grants from the 15th Finance Commission. These grants make PRIs/RLBs more capable, accountable, and self-reliant, thereby promoting sustainable development in rural areas. In line with Prime Minister Narendra Modi's vision of 'Sabka Saath, Sabka Vikas, Sabka Vishwas, Sabka Prayas', this initiative encourages inclusive development and participatory democracy. Through this initiative, PRIs/RLBs are being reinforced as vital pillars of the nation’s development framework, helping to realize the vision of a ‘Developed India’.

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